Sports Minister Says £500m To Go Back To Treasury As Games Expected To Come In Under Budget

Sports minister Hugh Robertson says the London 2012 Olympic games are likely to come in under the £9.3bn budget set by the government, with about £500m of the contingency funding left.

Speaking to the BBC, Robertson said the exact figure would be announced in Parliament later. "All being well we should be able to hand half a billion pounds back to the Treasury.”

The £9.3bn budget, which includes a £2bn contingency, was decided in 2007 but was nearly four times the amount estimated originally at the time London bid in 2005.

Revisions were made due to previously overlooked costs such as extra security, VAT increases and the regeneration of the lower Lea Valley area.

Mr Robertson also went on to say that the games, which start next month, are "a great advert for the British construction industry, sport and for UK Plc's."